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Banking Bill

On that latter point, the Northern Rock valuer was appointed in September 2008. We are as keen as anyone that the valuer should carry out his duties expeditiously. As I indicated, two months after his appointment, he wrote to the Government indicating that he would need additional powers with regard to information. I understand the point that the noble Baroness makes that people always have good reason for withholding information. He did not identify the need for additional information-gathering powers until he wrote to the Treasury at the end of November 2008, so he had had several months seeking to do the work and then identified that he had limitations. We gave careful consideration to his request for additional powers to compel the production of information to interview witnesses where he deemed it necessary to conduct his valuation exercise. There has been evidence of parties, such as previous bidders and Northern Rock auditors, who have been reluctant to provide the information necessary to the valuer’s work. In those circumstances, the Government had no alternative but to recognise that the valuer was operating under constraints which would make the job extremely difficult, if not impossible, and would certainly provide for very considerable delay in circumstances where we want this issue resolved as rapidly as possible. I was asked why it took so long to appoint the valuer. It was a competitive process during which value for money was a key consideration. The Treasury will pay the valuer a fixed fee for carrying out the valuation. The terms of the appointment are on the Treasury website. The Government have not been tardy about these matters. The noble Lord will recall when Northern Rock was taken into public ownership. It has become clear that these powers are necessary, hence Amendment 174H.